How to File an Extension for Your Tax Return

Do you have your taxes filed yet? Have you even started yet? If you're like a lot of people, you are in no way ready to send those forms off to the IRS. Did you know that you can file a form and get a six month extension?

If you decide you want to file an extension, please do not pay a tax preparer to do this for you. Save your money and just read this article! I am going to walk you through completing the Form 4868: Application for Automatic Extension of Time to File U.S. Individual Income Tax Return. Once you have submitted the form to the IRS, remember to get your 1040's in by October 15.

Download the Extension Form 4868

Go to http://www.irs.gov/pub/irs-pdf/f4868.pdf. You will need Adobe Acrobat Reader in order to read this form. If your computer does not have it already installed, you can get the program here: http://www.adobe.com/products/acrobat/readstep2.html. It's a free download.

Extension Form 4868 Part I, Section 1

In this part you will simply fill out the Name and Address lines. This is pretty self-explanatory. Just make sure you write in print not in cursive. This is a key for any form you file with the IRS. Also, write in Blue or Black ink.

Extension Form 4868 Part I, Sections 2 and 3

If you are single or married, but filing separately, your social security number will go in Section 2. If you are married, you will need to put the social security number of the person who is normally considered the Taxpayer on all other forms. This is usually the husband's SSN. The spouse's social security number will be put in Section 3.

Extension Form 4868 Part II, Section 4

This section of the form is asking you to estimate what your tax liability is going to be. Try to be as accurate as possible. I would recommend starting with your prior year's tax return and working from there. If you made more or less than you did last year, you will want to adjust that amount from whatever it was last year. If you expect not to have a tax liability, you can input $0.

Extension Form 4868 Part II, Section 5

This line is asking you how much you paid to offset your tax liability. This can be from your W-2's and any estimated payments that you might have paid during the last year. If you have multiple W-2's, just add up the figures of Federal Tax Withheld.

Extension Form 4868 Part II, Section 6

For this line you will subtract Section 5 from Section 4. If you end up with a negative number (Section 5 is more than Section 4), just input $0.

Extension Form 4868 Part II, Section 7

If Section 6 has an amount on it, you may want to pay part of that now. The reason to do so is in order to reduce any interest and penalties you might incur due to paying your tax liability late. I would recommend paying as much as you can. If you do happen to overpay, you can get that money back as part of your refund.

Extension Form 4868 Part II, Sections 8 and 9

These sections will not be applicable to most of the taxpayers. If you are going to be out of the country on the regular due date for your return, you would put an "X" in the box in Section 8.

Section 9 is only to be checked if you didn't receive any wages subject to income tax withholding in the U.S. and you are required to complete the Form 1040NR or 1040R-EZ.

Submitting the Extension Form 4868

Once you have completed the form, you will need to get it to the IRS. On page 4 of the form you downloaded (see above), there is a list of addresses. Make sure you submit to the correct location based on your state of residence.